Real Estate Talking Points: Deeds and contracts relating to land - The Essentials
"Section 2 is concerned with contracts for the creation or sale of legal estates or interests in land, not with documents which actually create or transfer such estates or interests. So a contract to transfer a freehold or a lease… to grant a lease or… for a mortgage, are all within the reach of the section… However, an actual transfer, conveyance or assignment… lease, or… mortgage are not within the scope of section 2 at all."
In England and Wales, certain types of land-related transactions are required by statute to be effected by deed; for example, conveyances of land, mortgages and most leases. In addition, certain statutory requirements must be complied with where contracts are entered into in respect of the creation or sale of an interest in land. If the parties to a transaction fail to comply with the applicable statutory requirements, this is likely to affect the validity of the transaction in question.
In this alert Siobhan Burton and Tong Koh summarise the legal principles that apply to deeds and contracts in respect to transactions relating to land.
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